Portfolio suggestion for retirement and short term goals ?

POSTED BY chaitanya_krish ON May 18, 2014 1:06 pm COMMENTS (6)

My age is 26. Salary 9 lakhs PA. currently has 22k home loan EMI per month and can save around 10k per month. i have a retirement goal of 3+ crore at the age of 60 and a short term goal of 12+ lakhs after 10 years.

Any suggestions of some good funds for both retirement and short term goals.

i already have SBI Magnum Taxgain for 1000 PM, Axis Long Term Equity Fund for 1000 PM in ELSS and SBI Emerging Businesses for 1000 PM..

6 replies on this article “Portfolio suggestion for retirement and short term goals ?”

  1. TheZionView says:

    I am not sure how did you come out with the figure of 3cr but at your age of 26 60 is about 34 years away and with your current salary and expense level i doubt the retirement amout is sufficient you will need to re vist the calculation

    For invetment if your requirement is after 10 years go ahead with complete equity investment and take the required short term money at the end of 8th or 9th year to shift to liquid fund.

    for retirement just keep simple 1-2 funds like QLETF and one mid cap fund

  2. Viren Phansalkar says:

    Do not go by the word ‘bluechip’. Check the overlapping of the stocks in the fund.

    For your funds, data from Valueresearchonline shows:

    Benchmark for SBI Taxgain is S&P BSE 100. It is more towards large cap fund (with some % in mid cap).
    Benchmark for Axis Longterm is S&P BSE 200. It is also more towards large cap fund (with some % in mid cap).
    Benchmark for SBI Emerging Business is S&P BSE 500. It is more towards mid and small cap.

    So at the moment, you are enough diversified. No need to add another fund. Increase your investment in the current funds.

    Alternatively, you can also have a look at below post from Pattu
    http://freefincal.com/diversified-equity-portfolio-sector-mutual-funds/

    For short term goal,
    consider a mix or RD/FD and SIP in liquid/debt funds.

  3. chaitanya_krish says:

    Hi Viren,

    I have SBI Magnum Taxgain, Axis Longterm Equity and SBI Emerging Businesses (small and mid-cap). I don’t have bluchip.
    to meet my goals, should i go with pure large cap or large-midcap ?

  4. Viren Phansalkar says:

    QLEF and ICICI bluechip are different in nature.
    QLEF is in large and mid cap while ICICI bluechip would invest only in bluechip.
    So do not get confused between two.
    And which one to select? That depends upon your diversification. If you already have bluechip in portfolio, avoid ICICI. Similarly, if you already have mid cap, avoid QLEF.

  5. Debojyoti Das says:

    Hi Krish,
    I am not an expert, but the blog from below link should give you a rough idea of how much should be your retirement corpus. Also, the selection of Mutual fund how we should do, etc, etc. Read the blog with the free calculators provided by dear Pattu and decide on your own on what should be your retirement corpus. I am sure 3+ crore is something not came from any calculation as of now. Also, read past discussions here with search option on investment FAQs and you will get answers you were looking for. As for investment in specific MF, what is the selection criteria you have accounted for to decide on QLTE and ICICI FBC. Both are very good equity MFs and I have my own investments in both….happy investing.

    http://freefincal.com/

  6. chaitanya_krish says:

    I am a bit confused between Quantum Long Term Equity fund and ICICI focussed bluechip.
    Any suggestions? which one to go ?

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